Can you use a credit card to buy a car?

**optimistic** · Jan 9, 11, 12:09 am

Can I use a credit card to buy a car and pay for the full price of it? Like I need a new car and since I am here I thought I would ask if it is possible because when I almost bought in July a used car loan had a high rate. If I could use a 0% card to buy it that would be simply amazing!

**Smerri** · Jan 9, 11, 7:44 pm

A lot of dealerships will cap how much you can put on a card, such as only 5k of a 12k deposit (or in your case the car) so in my experiences I can't imagine any dealer willing to allow you to put it on a card.

**optimistic** · Jan 9, 11, 8:18 pm

That is about the price range I had in mind too! What if I said using a credit card was the only way I could buy the car. Would a dealer make an exception for that?

**Generallisimo** · Jan 10, 11, 6:25 pm

I'd look into Penfed Auto for car loans, it's a flat rate for everyone as long as you are approved. Some dealers might cap how much you can pay, and definitely DO NOT tell them that is your only form of payment, you're just giving them information they'll use against you in negotiations, and they're good at negotiating, that's their job.

Also, um, do you really think you could pay off the credit card in the amount of time that you have 0% interest? If you don't have enough money put aside to buy a car, I'd go with a cheaper car and worry more about building up an emergency stash in the meantime. If you don't pay off the balance before-hand, you'll just end up paying sky-high interest rates and would have been better off with a car loan.

**debitcardsblow** · Jan 11, 11, 11:49 am

How much would the minimum payment be if $10,000 was charged to a credit card for a car?

**Mogul of Pineapples** · Jan 14, 11, 8:38 pm

According to the online calculator on Bank Rate the minimum payment would be $108.33 for 293 months, if the minimum was 1% of balance + interest and the APR was 1% (it wouldn't allow 0% to be selected). That would assume the balance was transferred continuously and with no balance transfer fees, which would probably be impossible to do for 293 months.

I don't think a credit card would be a good idea. As mentioned above get a cheap auto loan through a credit union.

**Keysmasher** · Jan 15, 11, 5:21 pm

Well if you have an American Express charge card product (Zync, Green, Gold, Platinum, Centurion), there is a program that they are offering to where you can charge the car purchase to your card (American Express Auto). However this is limited (for now) in certain dealerships in Houston and the Tristate Area. IIRC, there is also a program for people in good standing with American Express to allow people to carry balances and make minimum payments but the interest rate that American Express bears with these cards would be significantly higher than a regular auto loan from a bank or credit union.

Soo yes you can use a credit card to buy a car, however it is limited in certain areas. So in your case (Nevada), it is not possible, yet. Also I believe you can consolidate some sort of deal with the dealership to put the car on your 0% credit card, but they would probably charge you the percent that VISA/AMEX/MC/DISC takes away (~3-5%).

Soo like everyone has said, it would probably be better to use an auto loan.

EDIT: The AMEX Auto Program is available for most of the credit cards offered by AMEX, so it is not just limited to the charge products. But my statements are still valid as the interest rates on most if not all credit cards are substantially higher than an auto loan.

**Mapleton** · Jan 28, 11, 12:14 am

I've heard many stories of people using their Amex cards to pay for their car (sans the Amex auto program). Straight up regular charges, no special programs, like it was any other charge.

But it depends if the dealer is willing to do it. I would negotiate a price first and when the price is agreed upon, ask them about paying for it with an credit card.

**Pete838** · Jan 28, 11, 6:50 am

I had a similar conversation with one of my contractors just a couple of days ago. While I have not verified this assertion, he claimed that he attempted to purchase a new GM truck at a dealership on his AMEX Platinum charge, but was told by the dealer that there is a law preventing such a purchase. The dealer said it had to do with drug trafficking. They capped his charge amount at a few thousand dollars and he wrote a check for the rest.
The most I have ever paid on a charge for a car purchase was around $3K for a down payment.

**Mogul of Pineapples** · Jan 30, 11, 11:01 pm

Originally Posted by Pete838

While I have not verified this assertion, he claimed that he attempted to purchase a new GM truck at a dealership on his AMEX Platinum charge, but was told by the dealer that there is a law preventing such a purchase. The dealer said it had to do with drug trafficking.

That dealer has got to be lying. That's probably his go to line to get out of accepting high credit card charges.

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Can you use a credit card to buy a car?